Quintessentially Ventures Limited - Period Ending 2021-04-30
Quintessentially Ventures Limited - Period Ending 2021-04-30
Registration number:
Quintessentially Ventures Limited
for the Year Ended 30 April 2021
Quintessentially Ventures Limited
Contents
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Balance Sheet |
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Notes to the Unaudited Financial Statements |
Quintessentially Ventures Limited
(Registration number: 08352180)
Balance Sheet as at 30 April 2021
|
Note |
2021 |
Restated |
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Fixed assets |
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Intangible assets |
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Tangible assets |
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|
|
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Investments |
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Other financial assets |
622,194 |
365,434 |
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Current assets |
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Debtors |
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Cash at bank and in hand |
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Creditors: Amounts falling due within one year |
( |
( |
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Net current assets |
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Total assets less current liabilities |
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Creditors: Amounts falling due after more than one year |
( |
- |
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Net assets |
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Capital and reserves |
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Called up share capital |
6,881 |
3,598 |
|
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Share premium reserve |
2,040,694 |
1,706,002 |
|
|
Revaluation reserve |
99,705 |
- |
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|
Other reserves |
259,100 |
259,100 |
|
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Profit and loss account |
(1,253,133) |
(1,309,272) |
|
|
Shareholders' funds |
1,153,247 |
659,428 |
For the financial year ending 30 April 2021 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
Directors' responsibilities:
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• |
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• |
The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts. |
Quintessentially Ventures Limited
(Registration number: 08352180)
Balance Sheet as at 30 April 2021
These financial statements have been prepared in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006.
These financial statements have been delivered in accordance with the provisions applicable to companies subject to the small companies regime and the option not to file the Profit and Loss Account has been taken.
Approved and authorised by the
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......................................... |
Quintessentially Ventures Limited
Notes to the Unaudited Financial Statements for the Year Ended 30 April 2021
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General information |
The company is a private company limited by share capital, incorporated in United Kingdom.
The address of its registered office is:
These financial statements were authorised for issue by the
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Accounting policies |
Summary of significant accounting policies and key accounting estimates
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
Statement of compliance
These financial statements have been prepared in accordance with Financial Reporting Standard 102 Section 1A - 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006.
Basis of preparation
These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.
Group accounts not prepared
Quintessentially Ventures Limited
Notes to the Unaudited Financial Statements for the Year Ended 30 April 2021
Going concern
The Group had cash resources of £360,000 at 30 April 2021 (2020: £177,000). As at 12 January 2022 the Group had cash resources of £336,000, having completed a capital raise of £300,000 in the second half of 2021.
The directors have adopted the going concern basis in preparing these accounts after assessing the principal risks and having considered the impact of COVID-19 on the business. The major variables are the depth and duration of COVID-19. The directors considered the impact of the current COVID-19 environment on the business for the next 12 months. Scenario planning is difficult in these circumstances but we have considered the impact on sales, profits and cash flows. We have assumed that we will continue to be able to support our customers and sell to new clients.
Whilst the virus impacts various functions of the business it would most likely manifest itself in reduced demand by customers and cost cutting by them over the medium to long term. The Group would need to respond to the impact of these by reduced staffing, as a result of lower demand for our services, whilst we continue to service our existing clients. It may also require significant action in relation to operational cost reductions by the Group.
Overall, we scenario planned for a material revenue decline (in the region of 25%) and the impact lasting for a significant part of FY2022. The revenue and operational leverage impact of such a revenue loss would have a negative impact on Group profitability, however the scenario modelling would indicate that the Group would remain profitable over the next 12 months and we would anticipate a recovery in the following years.
Throughout this severe but plausible downside scenario, the Group continues to have sufficient liquidity headroom.
The directors believe that the Group is well placed to manage its financing and other business risks satisfactorily, and have a reasonable expectation that the Group will have adequate resources to continue in operation for at least 12 months from the signing date of these financial statements. They therefore consider it appropriate to adopt the going concern basis of accounting in preparing the financial statements.
Further information regarding the Company’s business activities, together with the factors likely to affect its future development, performance and position, is set out in the Directors' Report on pages 2.
Revenue recognition
Turnover comprises the fair value of the consideration received or receivable for the sale of goods and provision of services in the ordinary course of the company’s activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts.
The company recognises revenue when:
The amount of revenue can be reliably measured;
it is probable that future economic benefits will flow to the entity;
and specific criteria have been met for each of the company's activities.
Tax
The tax expense for the period comprises deferred tax. Tax is recognised in profit or loss, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.
Quintessentially Ventures Limited
Notes to the Unaudited Financial Statements for the Year Ended 30 April 2021
Deferred tax is recognised in respect of all timing differences between taxable profits and profits reported in the financial statements.
Unrelieved tax losses and other deferred tax assets are recognised when it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.
Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference.
Tangible assets
Tangible assets are stated in the balance sheet at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.
Depreciation
Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:
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Asset class |
Depreciation method and rate |
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Office Equipment |
3 years straight line |
Intangible assets
Intangible assets are stated in the balance sheet at cost, less any subsequent accumualted amortisation and subsequent impairment losses.
Amortisation
Amortisation is provided on intangible assets so as to write off the cost, less any estimated residual value, over their useful life as follows:
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Asset class |
Amortisation method and rate |
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Intangible Assets |
5 years straight line |
Investments
Interests in subsidiaries are initially measured at cost and subsequently measured at cost less any accumulated impairment losses. The investments are assessed for impairment at each reporting date and any impairment losses or reversals of impairment losses are recognised immediately in profit or loss.
A subsidiary is an entity controlled by the company. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.
Investments in unlisted company shares, whose market value can be reliably determined, are remeasured to market value at each statement of financial position date. Gains and losses on remeasurement are included in the profit and loss for the period. Where market value cannot be reliably determined, such investments are stated at historic cost less impairment.
Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
Quintessentially Ventures Limited
Notes to the Unaudited Financial Statements for the Year Ended 30 April 2021
Trade debtors
Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.
Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the receivables.
Trade creditors
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.
Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.
Borrowings
Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the Profit and Loss Account over the period of the relevant borrowing.
Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.
Borrowings are classified as current liabilities unless the company has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.
Share capital
Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.
Defined contribution pension obligation
A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the company has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.
Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.
Quintessentially Ventures Limited
Notes to the Unaudited Financial Statements for the Year Ended 30 April 2021
Financial instruments
Recognition and measurement
Financial instruments are recognised when the company becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Basic financial assets
Basic financial assets, which include trade and other debtors, amounts due from group undertakings and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the financial asset is measured at the present value of the future receipts discounted at a market rate of interest.
Classification of financial liabilities
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.
Basic financial liabilities
Basic financial liabilities, including trade and other creditors and convertible loans, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
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Staff numbers |
The average number of persons employed by the company (including directors) during the year, was
Quintessentially Ventures Limited
Notes to the Unaudited Financial Statements for the Year Ended 30 April 2021
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Intangible assets |
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Other intangible assets |
Total |
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Cost or valuation |
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At 1 May 2020 (restated) |
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At 30 April 2021 |
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Amortisation |
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At 1 May 2020 (restated) |
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Amortisation charge |
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At 30 April 2021 |
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Carrying amount |
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At 30 April 2021 |
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At 30 April 2020 (restated) |
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Tangible assets |
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Office equipment |
Total |
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Cost or valuation |
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At 1 May 2020 (restated) |
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Additions |
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At 30 April 2021 |
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Depreciation |
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At 1 May 2020 (restated) |
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Charge for the year |
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At 30 April 2021 |
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Carrying amount |
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At 30 April 2021 |
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At 30 April 2020 (restated) |
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Quintessentially Ventures Limited
Notes to the Unaudited Financial Statements for the Year Ended 30 April 2021
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Investments |
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2021 |
2020 |
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Investments in subsidiaries |
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Subsidiaries |
£ |
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Cost or valuation |
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At 1 May 2020 |
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Provision |
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Carrying amount |
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At 30 April 2021 |
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At 30 April 2020 |
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Details of undertakings
Details of the investments (including principal place of business of unincorporated entities) in which the company holds 20% or more of the nominal value of any class of share capital are as follows:
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Undertaking |
Registered office |
Holding |
Proportion of voting rights and shares held |
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2021 |
2020 |
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Subsidiary undertakings |
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29 Portland Place
United Kingdom |
Ordinary |
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Subsidiary undertakings |
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Quintessentially Ventures Fundraising Limited The principal activity of Quintessentially Ventures Fundraising Limited is |
Quintessentially Ventures Limited
Notes to the Unaudited Financial Statements for the Year Ended 30 April 2021
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Other financial assets (current and non-current) |
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Financial assets at cost less impairment |
Total |
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Non-current financial assets |
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Cost or valuation |
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At 1 May 2020 (restated) |
365,434 |
365,434 |
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Revaluations |
123,092 |
123,092 |
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Additions |
133,668 |
133,668 |
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At 30 April 2021 |
622,194 |
622,194 |
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Impairment |
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Carrying amount |
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At 30 April 2021 |
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622,194 |
Other Financial Assets are portfolio investments in unlisted securities in which there is some external third party investment, i.e. the company has sought to raise equity investment beyond the original founder capital. Where relevant, the carrying value of these investments has been revalued by reference to the equity value ascribed to the company on a subsequent fundraising round. No other adjustments have been applied except where in the opinion of the directors it is necessary to recognise an impairment.
The net movement on reserves is shown after an attributable deferred tax provision of £23,387.
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Debtors |
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2021 |
Restated |
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Trade debtors |
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Prepayments |
|
- |
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Deferred tax asset |
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Other debtors |
- |
20,963 |
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VAT Control account |
7,042 |
- |
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Less non-current portion |
( |
( |
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Details of non-current trade and other receivables
£263,936 (2020 -£300,747) of Deferred Tax Asset is classified as non current.
Quintessentially Ventures Limited
Notes to the Unaudited Financial Statements for the Year Ended 30 April 2021
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Creditors |
Creditors: amounts falling due within one year
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Note |
2021 |
Restated |
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Due within one year |
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Bank loans and overdrafts |
68,321 |
158,000 |
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Trade creditors |
8,584 |
32,122 |
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Amounts owed to associates |
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PAYE and NIC |
42,276 |
29,939 |
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Accruals and deferred income |
|
- |
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Other creditors |
|
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Creditors: amounts falling due after more than one year
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Note |
2021 |
2020 |
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Due after one year |
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Loans and borrowings |
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- |
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Share capital |
Allotted, called up and fully paid shares
|
2021 |
2020 |
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No. |
£ |
No. |
£ |
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|
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|
6,881.00 |
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3,598.40 |
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Loans and borrowings |
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2021 |
2020 |
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Non-current loans and borrowings |
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Bank borrowings |
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- |
Quintessentially Ventures Limited
Notes to the Unaudited Financial Statements for the Year Ended 30 April 2021
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2021 |
2020 |
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Current loans and borrowings |
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Bank borrowings |
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- |
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Other borrowings |
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Disclosure of Prior Year Error |
During the course of preparing the statutory accounts for the year ended 30 April 2021, the current directors identified an historic reporting error which has been corrected by restating the 2020 comparable numbers in the presentation of the 2021 accounts. The error impacts the statutory accounts filed for the reporting periods ending in 2016 to 2020 inclusive.
A number of transactions had previously been reported on the basis that they related to activities undertaken by Quintessentially Ventures Fundraising Limited (QVFL), a wholly owned subsidiary of Quintessentially Ventures Limited (QVL). This has since been determined as being incorrect since the relevant transactions were actually entered into by QVL and should have been reported as such alongside the corresponding costs.
The error has a material impact on the historic presentation of the statutory accounts previously filed by both companies.
QVFL statutory accounts should have been filed on the basis that the company has been dormant since the date of incorporation on 3 June 2015. Accordingly, QVFL will be filing amended accounts on this basis for all years affected.
For QVL, the error has been corrected by adjusting the comparative numbers shown for 2020 and hence the opening balances on 1 May 2020 which have been used to prepare the accounts for the current period.
The overall effect of the adjustment is increase the deficit on previously reported distributable reserves in QVL by £858,965 at 30 April 2020. The adjustment also impacts the tax losses previously reported by QVL and QVFL respectively. This will be addressed via separate correspondence with HMRC.
In accordance with the disclosure requirements of FRS 102 Section 10, the following adjustments have been made in respect of the years affected in order to derive the comparable balance sheet at 30 April 2020:
Intangible Assets
|
Year |
Reported in QVL |
Reported in QVFL |
Restated in QVL |
|
'2016 |
£0 |
£0 |
£0 |
|
'2017 |
£0 |
£0 |
£0 |
|
'2018 |
£0 |
£12,500 |
£12,500 |
|
'2019 |
£0 |
£10,250 |
£10.250 |
|
'2020 |
£0 |
£7,250 |
£7,250 |
Quintessentially Ventures Limited
Notes to the Unaudited Financial Statements for the Year Ended 30 April 2021
Tangible Assets
|
Year |
Reported in QVL |
Reported in QVFL |
Restated in QVL |
|
'2016 |
£918 |
£0 |
£918 |
|
'2017 |
£0 |
£611 |
£611 |
|
'2018 |
£0 |
£3,072 |
£3,072 |
|
'2019 |
£0 |
£2,061 |
£2,061 |
|
'2020 |
£0 |
£807 |
£807 |
Investments
|
Year |
Reported in QVL |
Reported in QVFL |
Restated in QVL |
|
'2016 |
£232 |
£3,567 |
£3,799 |
|
'2017 |
£5,482 |
£98,299 |
£103,781 |
|
'2018 |
£35,456 |
£158,700 |
£194,156 |
|
'2019 |
£35,456 |
£234,157 |
£269,613 |
|
'2020 |
£35,324 |
£330,210 |
£365,534 |
Debtors
|
Year |
Reported in QVL |
Reported in QVFL |
Restated in QVL |
|
'2016 |
£45,921 |
£91,986 |
£137.907 |
|
'2017 |
£337,190 |
£57,068 |
£58,607 |
|
'2018 |
£736,398 |
£211,022 |
£306,117 |
|
'2019 |
£1,169,456 |
£287,151 |
£378,876 |
|
'2020 |
£1,634,839 |
£337,095 |
£441,479 |
Creditors due within 1 year
|
Year |
Reported in QVL |
Reported in QVFL |
Restated in QVL |
|
'2016 |
£11,706 |
£21,820 |
£33,626 |
|
'2017 |
£155,205 |
£338,251 |
£157,905 |
|
'2018 |
£227,773 |
£661,627 |
£248,197 |
|
'2019 |
£166,203 |
£1,090,560 |
£179,132 |
|
'2020 |
£328,745 |
£1,534,227 |
£332,617 |
Note that adjustments have been made to the Debtors and Creditors to eliminate all intra-group balances.
Quintessentially Ventures Limited
Notes to the Unaudited Financial Statements for the Year Ended 30 April 2021
These adjustments are reflected in movements on the Profit and Loss Account as follows:
Profit and Loss Account
|
Year |
P&L reserves in QVL |
P&L movement in QVFL |
Restated P&L reserves in QVL |
|
'2016 |
£(435,213) |
£73,633 |
£(361,580) |
|
'2017 |
£(478,265) |
£(256,006) |
£(660,638) |
|
'2018 |
£(429,872) |
£(94,060) |
£(706,305) |
|
'2019 |
£(444,918) |
£(280,608) |
£(1,001,959) |
|
'2020 |
£(450,307) |
£(301,924) |
£(1,309,272) |